M7 Real Estate acquires 34 Dutch offices

European investor and asset manager M7 Real Estate has announced the acquisition of a total of 34 office assets throughout the Netherlands for nearly €143 mln.

The acquisition, which was made on behalf of M7 European Real Estate Investment Partners IV fund, comprises three portfolios and two single assets.

One portfolio of 16 office assets providing 95,200 m2 was bought for €78 mln. PropertyEU, which reported the deal in mid September, understands that the Alexander package was acquired from Dutch investment group Tasman Properties. It comprises assets located in 13 cities across the country including Amersfoort, Amsterdam, Bergen op Zoom, Delft, Den Bosch, Diemen, Enschede, Groningen, Heerenveen, Oisterwijk, Rotterdam, Zaltbommel and Zwolle.

The second portfolio of nine Dutch industrial and office assets was acquired for €39.5 mln and totals 55,000 m2. A third portfolio was purchased for €16.24 mln and comprises seven assets located in important regional Dutch office markets, including Almere and Arnhem, with a total of 24,200 m2. The single office assets are located in Groningen and in Utrecht.

Including this acquisition, the fund has deployed a total of €575 mln so far. It was launched with a €175 mln first close in October 2016 to target value-add multi-let commercial real estate opportunities in Germany, the Netherlands, Ireland, France and Scandinavia.

M7 said it has identified a range of opportunities to drive value across the new acquisitions, including a targeted capex and refurbishment programme to facilitate the lease up vacant space.

Commenting on the purchases, David Ebbrell, M7’s Chief Investment Officer, said: 'These most recent acquisitions offer both strong and diverse income profiles as well as a range of opportunities to enhance capital and rental values. As such, the transactions are in line with our strategy to position EREIP IV as an attractive income-focussed fund that is underpinned by a resilient portfolio delivering risk adjusted returns.'